SMITH RD_FINAL_KROHN.DOC 2/9/2009 3:34:19 PM RECENT DEVELOPMENT ENVIRONMENTAL ACTIVISM IN THE FORM OF RESIDENTIAL SOLAR PANELS AND THE RESULTING CONFLICTS FOR THE 21ST CENTURY As many environmentally-conscious citizens have become dissatisfied with the current progress toward the mass production of renewable energy, a large group of people have taken environmental activism into their own backyards. This has not occurred without a new set of conflicts. Due to the emergence of solar panels in residential settings, many homeowners have replaced the saying “not in my back yard” with “not in my neighbor’s backyard.” While these disputes are still in their infancy, it is important to consider the nature of these conflicts, as well as their political and legal implications. This paper examines some of the typical examples of the laws and cases that have emerged as a result of the conflicts surrounding residential solar technology installation. I. SOLAR ENERGY EMERGES AS AN ALTERNATIVE TO GRID ELECTRICITY Solar energy production in the residential setting became nationally prominent in the late 1990s with President Clinton’s “Million Solar Roofs” Initiative.1 This Initiative sought to achieve the installation of photovoltaic (“PV”) technology on one million roofs by 2010.2 As part of this effort, the Department of Energy under the Clinton Administration created a finance program to assist consumers attempting to buy PV products and 1. NAT’L RENEWABLE ENERGY LAB., U.S. DEP’T OF ENERGY, PHOTOVOLTAIC ENERGY PROGRAM OVERVIEW 2 (1998), available at http://www.nrel.gov/docs/legosti/fy98/23546.pdf. 2. Id. at 2. 330 SMITH RD_FINAL_KROHN.DOC 2008] 2/9/2009 3:34:19 PM RECENT DEVELOPMENT 331 also engaged in an effort to identify mortgage lenders agreeable to allowing consumers to finance homes that were energy independent.3 The resulting mortgage market has made singlefamily housing consumers an area of high potential growth for the solar industry.4 In addition to federal action in this area, many states have created tax incentives (totaling greater than $300 million by 2006) and other laws to encourage homeowners to install residential PV panels.5 II. STATE LAW REGARDING RESIDENTIAL SOLAR DEVICES At least the following eleven states currently have laws regarding the installation of solar energy devices: Arizona, California, Colorado, Florida, Hawaii, Indiana, Iowa, Massachusetts, Nevada, Utah, and Wisconsin.6 Most of these state laws invalidate any substantial restrictions placed on a homeowner’s right to install solar energy devices.7 The California law even defines an unacceptable restriction as one that causes a cost increase or performance decrease by twenty percent.8 These acts, and the related conflicts, represent a new area of law where courts and other government entities are forced to balance the economic and environmental goals of solarinstalling property owners pitted against neighboring property owners’ dismay over the perceived aesthetic nuisance. III. LEGAL CONFLICT RESULTING FROM INSTALLATION, OR PROPOSED INSTALLATION, OF RESIDENTIAL SOLAR ENERGY DEVICES One state law that has only recently come to national attention9 after being on the books for thirty years is the California Solar Shade Control Act.10 This Act sought to protect 3. 4. Id. THOMAS STARRS, LES NELSON & FRED ZALCMAN, BRINGING SOLAR ENERGY TO THE PLANNED COMMUNITY 7 (2008), available at http://www.abcsolar.com/pdf/CC+Rs_and_solar_rights.pdf. 5. INT’L ENERGY AGENCY [IEA], COOPERATIVE PROGRAMME ON PHOTOVOLTAIC POWER SYSTEMS: NATIONAL SURVEY REPORT OF PV POWER APPLICATIONS IN THE UNITED STATES OF AMERICA, 6 (Aug. 30, 2007), available at http://www.ieapvps.org/countries/download/nsr06/06usansr.pdf. 6. STARRS ET AL., supra note 4, at 51, 55. 7. Id. 8. Cal. Civ. Code § 714(d)(1)(A) (West 2005), reprinted in STARRS ET AL., supra note 4, at 51. 9. Paul Rogers, In Trees vs. Solar Fight, Trees Win, MERCURY NEWS, July 22, 2008, at 1A. 10. Solar Shade Control Act, Cal. Pub. Res. Code §§ 25980--25986 (West 1978); SMITH RD_FINAL_KROHN.DOC 332 2/9/2009 3:34:19 PM ENVIRONMENTAL & ENERGY LAW & POLICY J. [3:2 solar panels from sunlight reductions caused by vegetation and trees.11 The enforcement of this law recently led the Santa Clara Superior Court to order one California couple to trim down the height of two redwood trees that were casting shade on a neighbor’s solar panel.12 As a result of this case, a California state senator has presented a bill to exempt all trees planted prior to the installation of a solar panel.13 In contrast to the result in the California case, an Illinois court found that the state’s Solar Energy Act did not create “a new property right of solar access.”14 This decision was in response to a suit by a solar unit’s owner to prevent his neighbors from installing a second story on their residence because it would shield his solar device from sunlight in the morning.15 The Illinois law was not nearly as accommodating to solar devices as the California Solar Shade Act, and, as noted by the Illinois court, “a statute which attempts to establish an easement for sunlight would be in derogation of the common law.”16 The two cases above are examples of the legal conflicts in this area when a homeowner producing solar energy takes action to ensure maximum recoverability of sunlight, but there are many other instances where the battle is over whether a private homeowner can install a panel in the first place. Neighboring property owners attempting to disallow solar devices often use the community association as the mechanism of influence.17 The number of community associations has grown substantially in the past forty years.18 These associations frequently require the preservation of uniform aesthetic quality through the implementation of architectural controls that are interpreted initially by the developer and eventually by the homeowner’s association and its committee for reviewing architectural changes.19 While there is not much judicial history in the area of ANDERS ET AL., ENERGY POL’Y INITIATIVES CTR., CALIFORNIA’S SOLAR SHADE CONTROL ACT: A REVIEW OF THE STATUTES AND RELEVANT CASES 1 (2007), available at http://www.sandiego.edu/epic/publications/documents/070123_SSCAPaperFINAL_01.pdf. 11. ANDERS ET AL., supra note 10, at 1. 12. Rogers, supra note 9, at 1A. 13. Id. 14. O’Neill v. Brown, 609 N.E.2d 835, 839 (Ill. App. Ct. 1993). 15. Id. at 837. 16. Id. at 839. 17. STARRS ET AL., supra note 4, at 7. Id. 18 19. Id. SMITH RD_FINAL_KROHN.DOC 2008] 2/9/2009 3:34:19 PM RECENT DEVELOPMENT 333 homeowners contesting community association denials of their request to install solar panels, a few cases that have emerged offer a glimpse into the future of this area of litigation. A recent Arizona case, Garden Lakes Community Ass’n v. Madigan, found that the homeowner’s association restrictions “effectively prohibited” the homeowners from installing solar devices on their home.20 The court found that a homeowner’s association could impose restrictions that would result in additional cost to the homeowner, but that these costs could not be prohibitive to the homeowner’s desire to install a solar fixture.21 The court also found that an analysis of whether the cost was prohibitive could include examining the “location, type of housing, and value of the homes.”22 In Garden Lakes, the court ruled that the additional costs that would result from the homeowner’s association’s architectural restrictions would impose too great of a burden on the homeowner.23 Similarly, in a Colorado case, the court found that a homeowner’s association could not require the homeowner to keep an evaporative cooler on the ground instead of on the roof with the solar device because this would violate Colorado law, which stated that homeowner’s associations could only require “reasonable restrictions . . . which do not significantly increase the price of the device.”24 In another California case, Palos Verdes Homes Ass’n v. Rodman, the court found that a homeowner’s association’s requirements for solar panels “were a reasonable restriction.”25 The court reached this decision because it determined that the homeowner’s association did not cause an undue burden by requiring a system that, according to expert testimony, was of similar cost and quality.26 IV. FUTURE OF RESIDENTIAL SOLAR PANELS Currently most photovoltaic solar systems have efficiency However, new ratings between ten and fifteen percent.27 20. Garden Lakes Cmty. Ass’n v. Madigan, 62 P.3d 983, 989 (Ariz. Ct. App. 2003). 21. Id. 22. Id. at 987. 23. Id. at 988. 24. Governor’s Ranch Homeowner’s Ass’n, Inc. v. Gunther, 705 P.2d 1011, 1012 (Colo. App. 1985). 25. Palos Verdes Homes Ass’n v. Rodman, 227 Cal. Rptr. 81 (Cal. Ct. App. 1986). 26. Id. 27 Press Release, U.S. Dep’t of State, Solar Cells Increasing use of Electricity from Sunlight (April 19, 2005), available at http://www.america.gov/st/envenglish/2005/April/20050419124501lcnirellep0.8711206.html. SMITH RD_FINAL_KROHN.DOC 334 2/9/2009 3:34:19 PM ENVIRONMENTAL & ENERGY LAW & POLICY J. [3:2 technology may be able to raise efficiency of these devices to over fifty percent.28 New solar technology coupled with rising energy costs from fossil fuels could spawn an explosion of growth in this area stemming from economic motivations alone. Currently the per capita solar footprint in the United States is 181 square meters.29 This means that the United States would need to have 181 square meters of solar devices for each person to supply all of the energy it uses.30 The current amount of space per capita of roofs is sixty-five square meters, which could potentially account for over one-third of the total energy production needed in the United States if solar devices were installed.31 In 2004, solar energy only accounted for less than one-half of one percent of the world’s energy supply while oil accounted for a staggering 34.3 percent.32 Will solar panels in the residential setting become a significant part of the United States effort to reduce its dependence on oil? It is hard to say, because while technology may lead to more cost-effective solar energy production, it may also create or improve other renewable energy sources so that solar is not a significant part of the renewable energy framework. This area of law, where property law intersects with environmental law, may become increasingly important to property owners, whether motivated by economics or the environment, if residential solar power becomes a major player in the United States energy market. Andrew B. Smith 28. 29. Id. NAT’L RENEWABLE ENERGY LAB., U.S. DEP’T OF ENERGY, THE REGIONAL PERCAPITA SOLAR ELECTRIC FOOTPRINT FOR THE UNITED STATES 13 (2007), available at http://www.nrel.gov/docs/fy08osti/42463.pdf. 30. Id. at 2. 31. Id. 32. INT’L ENERGY AGENCY [IEA], RENEWABLES IN GLOBAL ENERGY SUPPLY 3 (2007), available at http://www.iea.org/textbase/papers/2006/renewable_factsheet.pdf. Specifically, solar energy accounts for only 0.39 percent of the world’s energy supply. Id.